More Farmer Checkoffs

[parsley]

The proposed Alberta  Wheat Commission that
charliep has already done the legwork on, will
snap into legislated change once the central
planners herd a handful of  both compliant and
eager farmers into their chairs. A cash cow is in
the making for companies once checkoff
legislation is passed. Just like banking fees, only
legislated. pars

[ColevilleH2S]

All the checkoffs I know about are voluntary, unlike you know who.

[gustgd]

Stay Classy Parsley.

CharlieP thank you for your contribution to
Agriculture and to Agri-ville.

[charliep]

Actually a good area for discussion. Will note there is a proposal for WGRF in the federal government's transition package.

10. Will the work of organizations like the Western Grains Research Foundation, the Canadian International Grains Institute and the Canadian Malting Barley Technical Centre be affected?
No. The Government recognizes that the Western Grains Research Foundation, the Canadian International Grains Institute and the Canadian Malting Barley Technical Centre deliver vital information to the Western Canadian grain industry. They will continue to do so in an open market system. The Marketing Freedom for Grain Farmers Act allows for the implementation of a voluntary check-off that would be in place for the transition period.

[URL="http://www4.agr.gc.ca/AAFC-AAC/display-afficher.do?id=1318628849413&lang=eng"]WGRF CIGI MBTC[/URL]

The Alberta Wheat Commission proposal is driven by Alberta farmers -not the GOA or ARD. There will be discussion and a vote before it comes into effect. I'm sure there will be lots of discussion before all is said and done.

[parsley]

Charliep is a professional and he is assigned
work as well as assigns work. I find him to be a  
delightful, thoughtful administrator,  with ability.

That doesn't mean to say I always agree with the
policies he is paid to move forwards.  

Or should. 

As a farmer, i may I have  a different perspective.
As ia in the case of creeping checkoffs.  It's a
legitimate concern. 

And Gusty, charliep is more than able to defend
policy because it is his expertise; as well as 
knowing we will  stick to  focusing on policy. Not  
people .   pars

[parsley]

Now, charliep, you are not saying that farmers
will get wheat checkoffed by
WesternGrainsFacelift as well as Alberta Wheat
Commission , do you? Nah

Or AB farmers don't get barley checkoffed by
both the WesternGrainsF as well as the AB
Barley Commission. Do you. Nah

Straighten me out. Checkoffing is so exciting, my
facts mate. Pars

[charliep]

IF (highlighting IF) the Alberta Wheat Commission moves forward, then it would be the only agency to collect a wheat levy in Alberta.

Alberta Barley Commission has a good track record of working with WGRF. No reason to believe a wheat version would be different.

Would have to check with others (hopefully can confirm) but the winter wheat and soft wheat commissions are the sole collectors of levies on these classes of wheat (not WGRF).

[gustgd]

I think Alberta soft white and winter get double checkoff.

but Saskatchewan barley sold into Alberta is not checked off.

thanks for that.
I guess we're the free riders!

[TOM4CWB]

Dear Parsley,

I think you had better check out what you are saying... ESPECIALLY on barley grown in Alberta:

Here is a news article on this subject;

"Prairie wheat, barley tax credits set for 2010

Mar 4, 2011 4:13 PM - 1 comment
TEXT SIZE

By: Staff

Crops
http://www.albertafarmexpress.ca/news/prairie-wheat-barley-tax-credits-set-for-2010/1000403761/?sms_ss=twitter&at_xt=4d7157d158740474%2C0

--------------------------------------------------------------------------------

Prairie wheat growers -- and barley growers east of Lloydminster -- won't be able to write off quite as much of their checkoff when filing returns for the 2010 tax year.

The Western Grains Research Foundation (WGRF), which collects checkoffs on Prairie wheat and Saskatchewan and Manitoba barley, on Friday announced a lower percentage of farmers' checkoffs will be eligible for a federal scientific research and experimental development (SR ED) tax credit, compared to 2009 levels.

Farmers who paid into the Saskatoon-based WGRF's checkoffs can claim 74 per cent of their wheat checkoff and 69 per cent of their barley checkoff for the 2010 tax year.

That's down from 83 per cent for wheat and 76 per cent for barley for 2009.

Alberta barley growers' $1-per-tonne checkoff is instead collected and managed by the Alberta Barley Commission and thus is subject to a different SR ED tax credit rate than those on barley in Manitoba or Saskatchewan.

A spokesperson for the Calgary-based commission said Friday the percentage of the 2010 Alberta barley checkoff eligible for the tax credit is 27 per cent, up from 23 in 2009.

The SR ED-eligible amount in either case then translates to a tax credit at a rate of 20 per cent for individuals, or 35 per cent for Canadian-controlled private corporations.

To their credit

So for example, if a Prairie farmer paid $300 in WGRF wheat checkoffs in 2010, the eligible amount would be calculated by taking 74 per cent (the wheat percentage) of that $300, or $222.

The Prairie farmer, if filing as an individual, would get 20 per cent of that $222, or $44.40, as a SR ED tax credit.

The same farmer filing as a corporation would get 35 per cent as an SR ED tax credit, or $77.70.

The percentages announced Friday are the percentages of the checkoff dollars spent directly on eligible research.

Growers who opt out of the checkoff are not eligible for the SR ED tax credit on their wheat or barley."

My understanding is that Alberta Barley Commission collects the Alberta production levies, and Sk./MB growers pay into WGRF. NOT double levies as you suggest. This news release would back this up.

I do pay AB Winter Wheat Levies and WGRF research funding as well. As this article well proves... they are very different organisations and have different purposes.

I can opt out of paying either of these levies... but our farm pays both because I believe it is money very well spent!

[charliep]

I am wrong. In this week's western producer (page 5), the proposal
retains the current 30 cents per tonne to WGRF and 70 cents to the new
commission. Checked WGRF, Alberta Winter Wheat and Soft Wheat
Commissions websites and no mention of the current split. Would have
to get an Alberta winter or soft wheat grower farmer to help me out.

[charliep]

Confirmed I am wrong. Both levies collected in Alberta. Not so sure on malt barley/ABC.

Again checking my facts but I understand that WGRF is an opt in/out alternative (don't have to pay) whereas Alberta Commissions are refundable (pay and get your money back). Both are ways of doing it.

[parsley]

I rest my case Tom. Checkoffs are a bureaucrats'
heaven. They promise such department-
expansion potential. Imagine if you could set this
up in your constituency Tom, right after you are
elected, and dial it and get this menu:

"You have reached the 
NATIONAL WESTERN-CHECKOFF COUNCIL
Please choose from the following menu, followed
by the F key:

1.  Crop-Variety Checkoff Department
2.  Federal Checkoff Division

3.  Provincial Checkoff Division

4  Tax Division for Checkoffs

5. Farmers'  Call Centre For Checkoffs
(Recording only. Please leave your number and
a short description of your problem.)

6. Omnbudsman for Checkoff Disputes

*7. Funding-Application Department (Press lucky
7.  A personal Case Officer will be assigned to
guide you)
 
8. Ad hoc-Checkoff Information

9. . Information about Federal Checkoff Council
Executive & Directors  Our motto is , "We can
offer you what no other region of Canada will"

10.  Legal 
Press the pound key to exit."


Time to exit,  isn't it, Tom.   Pars

[charliep]

Would you be okay with a completely private based research and development based system similar to Europe? In the case of plant breeding, access to new genetics financed/developed wholely by the private sector with return on their investment via end use levies (pedigreed and saved seed)?

[charliep]

Again highlight Australia. My understanding is that GRDC is effectively a national commission funding activities on a whole bunch of levels.

An area they with Universities, major companies, etc is plant breeding. Somehow (don't know how), they maintain a equity interest in the proceeds new varieties and use returns on this money to re-invest in further plant breeding projects. Farmers pay for access to varieties via an end use levy. Could be corrected again but my understanding is that returns on investments from currently released varieties is basically paying for on going plant breeding projects. This has allowed GRDC to refocus in efforts on agronomic research, market development, extension. will look for others help/comments.

[charliep]

An interesting comment in a friend's newsletter.

[URL="http://www.open-i.ca/oi111021.pdf"]open-i[/URL]

OPINION: The adoption of production
technology, including minimum till and
glyphosate resistant seed has made canola the
preferred cropping option over much of Western
Canada. This together with the markets ready
acceptance of what is now regarded as a superior
product had lead to the phenomenal growth in
exports.
How much further can this go? Will canola
come to dominate cropping the way wheat does
in north-western Europe or corn and soya bean
in the US Mid West? This would almost
certainly require the scientist to stay ahead of
close rotation challenges, rather than the need to
find new markets.
David Walker, Edmonton, AB, CA